Read on to know more about the chain of events before the airline was forced to navigate these choppy skies.
Jet Airways announced it will temporarily halt operations from April 17 onward after banks rejected the debt-laden carrier's request for emergency funding. Read on to know more about the chain of events before the airline was forced to navigate these choppy skies.
May 2018: In the first signs of trouble, Jet Airways posts an unexpected loss of Rs 1,036 crore in the fourth quarter of the FY18, as against a net profit of Rs 602 crore in the same period a year earlier. This was the company’s first quarterly loss in 11 quarters.
May 2018: Jet Airways’ net worth turns negative.
August 02, 2018: The first reports on the airline considering pay cuts surface.
August 9: Jet Airways’ first quarter results get deferred as the board seeks more clarity from its auditors.
August 13: BSR & Co, an affiliate of KPMG India, refuses to sign on the first quarter results of Jet Airways. The audit firm had raised doubts over the airline’s ability to continue operating.
August 28: The airline reports a loss of Rs 1,323 crore in the first quarter of the year. Its fuel costs shot up by 53 percent. The company starts a cost reduction programme that intends to save Rs 2,000 crore over two years.
September 20: A day after its offices are raided by Income Tax officials, 30 passengers on board its Mumbai-Jaipur flight complain of nose and ear bleeding after its crew fails to activate the aircraft's internal pressure control.
October: Despite threats of ‘non-cooperation’ from pilots, the airline defers the payment of salaries.
October 4: Rating agency ICRA downgrades Jet Airways’ long-term borrowing programme.
October 18: Tatas carry out talks with Naresh Goyal for a possible investment in Jet Airways. But talks with Tatas and Delta Air Lines stall over Goyal’s future role. Prospective investors want Goyal to cede control.
October 19: Jet Airways starts curtailing daily operations. 13 planes are grounded.
November 16: Tata Sons’ board meet to discuss a proposal for Jet Airways. It insists on a no-compete clause from Naresh Goyal. Talks between two sides go slow.
November 19: Ten flights from Mumbai are cancelled. While reports say pilots refused to turn up on duty, the airline blames a “rostering” problem.
November 26: Naresh Goyal resumes talks with Etihad Airways, which already owns a 24 percent stake in Jet Airways.
November 27: The airline promises its pilots that it will clear its dues by March 2019. But the pilots are not convinced.
December 2: More flights are cancelled as pilots call in sick.
December 3: The airline closes services across seven Gulf routes. Up to 40 flights a week are cancelled.
December 31: Jet Airways defaults on debt repayments for the first time.
February 21, 2019: An EGM clears a banks-led resolution plan, including the fresh allotment of shares to lenders.
February 28: By now, Jet Airways is forced to ground about 50 of its aircraft.
March 25: Founder Naresh Goyal and wife Anita step down from the board of the airline.
April 8: Lenders call for expression of interest (EoI). In a twist Goyal also puts forward an EoI. Others including Etihad Airways, TPG Capital, Indigo Partners and NIIF also join the fray.
April 15: CEO Vinay Dube writes to banks for emergency funding of Rs 1,000 crore. But lenders don't budge
April 16: Goyal quits the race, but lenders refuse to give interim funds.April 17: Jet Airways announce the temporary shutdown of its operations after lenders turn down a request for funds.